Michigan
Michigan Office of the Auditor General
Published March 11, 2022

Medicaid and Children's Health Insurance Program Client Eligibility Determinations

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Overall Conclusion

Moderately effective.

Source Document

Audit Scope

Scope: October 1, 2018 through September 30, 2019; examining MDHHS's Medicaid and CHIP client eligibility determinations, including MAGI and non-MAGI TOAs, Bridges-based documentation, and related payments and monitoring activities.

Key Findings Summary

1

Improvements needed to ensure accurate information for SSI-related Medicaid beneficiaries.

2

Improvements needed to ensure required SSN verifications are completed.

3

Improvements needed in processing Transitional Medical Assistance (TMA).

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AI-Assisted

Generated by gpt-5-nano

AI Scope Summary

Building on this report, future Medicaid audits should focus on validating MAGI income verification across IRS and SOM data sources, ensuring real-time and accurate classification of expenditures between Medicaid and CHIP in Bridges and CHAMPS, tightening SSN and alien-status verification processes, improving TMA processing timeliness and accuracy, and establishing ongoing monitoring (MEQC/PERM) and training programs at the local office level to minimize improper payments and strengthen program integrity.

AI-Generated Insight

The audit identifies material and reportable conditions across eligibility determinations, data verification, and monitoring processes, indicating that while most beneficiaries were appropriately enrolled, significant improper payments arose from gaps in SSN verification, alien-status checks, MAGI data usage, and TMA processing. Strengthening Bridges/CHAMPS data integrity, enhancing IEVS usage, and implementing robust local-level monitoring and training are key to reducing improper payments in future audits.